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Monday, December 28, 2009

Why Command and Control Leadership Does Not Work in Business Today


This New York Times interview with Joseph J. Plumeri, chairman and chief executive of Willis Group Holdings, the insurance brokerage, sheds light on why 'command and control' leadership does not work in business today:

'Q. How has your leadership style evolved?

A. I was once a command-and-control guy, but the environment’s different today. I think now it’s a question of making people feel they’re making a contribution, and they’re part of the process. In the end, you’re still directing the process, but you’re allowing for the collaboration and debate to take place, which in a command-and-control environment doesn’t happen.

A command-and-control environment is where you have a meeting and you say, “This is what I think; what do you think?” The good news about that was there was no question about where we were going, and what we were going to do. And if it works, that’s terrific. The problem is when it doesn’t work, and people start to grow and feel like they’ve got more to contribute, it wears out. I think that’s what happened to that whole command-and-control approach.

Q. What surprised you the most about getting the top job, running your own show?

A. You can’t do it yourself. You have to build up a group of people around you. In a lot of ways the C.E.O. of a company as large as this one is more like a baseball manager. I have a lot to do with what happens before they go on the field. I have a lot to do with where I put them on the field. I have a lot to do with the preparation for what they’re supposed to do when they’re on the field. But once the game starts, I have nothing whatsoever to do with what they do when something happens.

So I’m different from a football manager who calls every play. I can’t call every play. I can’t be a basketball coach, because I can’t slow down or increase the flow of the game. So I have to be putting the right people in the right spots and make sure that they know what we want to achieve. And you’ve got to make them feel that their own stats are important, but the company doing well because of their contribution is really what’s important.

Q. What else surprised you?

A. I never fully appreciated that there are people who choose certain things in life where they can’t have a bad day. I can’t have a bad day. If I walk into a meeting, and I’m grumpy — not good. I don’t think you fully appreciate that until you’re actually in a position like this, that you can’t have a bad day. My doctor can’t have a bad day. And I think anybody in a leadership position, where people depend upon you, you simply can’t have that one off day that’s bad, because you’re going to affect a lot of people.'

For more, see - http://www.nytimes.com/2009/12/06/business/06corner.html?pagewanted=1&ref=business
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